Baltic Index Extends Fall on Lower Vessel Demand

The Baltic Exchange's dry bulk sea freight index extended its fall to an 11th session on Wednesday, as demand waned across all segments.

The overall index, which factors in rates for capesize, panamax and supramax shipping vessels carrying dry bulk commodities, fell 56 points, or about 4.1%, to 1,321.

The capesize index shed 102 points, or about 7.4%, to 1,286.

Average daily earnings for capesizes .BATCA, which typically transport 150,000-tonne cargoes such as coal and steel-making ingredient iron ore used in construction, fell $845 to $10,664.

"Only expectation for further fresh demand from West Australia consists as a stabilizing factor for the market at this point," shipbroker Allied said on the declining rates for capesizes.

The panamax index dropped 13 points, or about 0.8%, to 1,683, marking its 10th consecutive fall.

Average daily earnings for panamaxes .BPWT, which usually carry coal or grain cargoes of about 60,000 tonnes to 70,000 tonnes, dropped $117 to $15,149.

Russia said it would resume its participation in a deal to free up vital grain exports from war-torn Ukraine after suspending it over the weekend in a move that had threatened to exacerbate hunger across the world. 

The supramax index fell 57 points to a more than 20-month low of 1,332.

 (Reuters - Reporting by Harshit Verma in Bengaluru;)